Petronas Gas Ups 2Q Profit

Malaysia's Petronas Gas has reported a 2Q2018 net profit that was up 20% year on year, thanks to the start-up of a new LNG regasification terminal in Pengerang, Johor.

As a joint venture with Malaysia's Dialog Group and the state of Johor, Petronas Gas began commercial operations at the 3.5mn mt/yr onshore Pengerang terminal in November 2017; it cost $680mn to build. Johor is in a state in southern Malaysia, while Pengerang is just a few kilometers to the east of Singapore.

Petronas Gas August 15 reported a net profit of ringgit 509.32mn ($124mn) in April-June 2018, compared with 425.32mn in 2Q2017. Revenue grew 15.7% to ringgit 1.36bn ($332mn).

The company's regasification facilities in Sungai Udang, Melaka and Pengerang continued to record 100% plant reliability during the quarter. Its regasification segment recorded an increase of 145.4mn or 88% in revenues year on year at ringgit 310.6mn. 

Revenues of the firm's gas processing segment registered an increase of ringgit 7.7mn or 2% year on year. Accordingly, that segment's gross profit was higher by ringgit 10.1mn or 6.3% year on year, supported by lower plant operating expenses.